I'm trying to set a fully encrypted server environment with openSUSE
10.2 following the tutorial from the wiki [1]. Everything appears to
work just fine until I reboot into the encrypted system which then
results in a kernel panic ("Kernel panic: no init found. Try passing
init= option to kernel"). Of course, simply adding init=3 as a parameter
does nothing.

Since I did a fresh install following the tutorial precisely, I don't
really have any idea what might have gone wrong. The only difference I
can see is that I am installing the system on a software raid.

I am not sure if this is of any importance, but here is my disk layout: